Banks in Canada

The banking industry in Canada includes 20 domestic banks, 24 foreign bank subsidiaries, 22 full service foreign bank branches and 7 foreign bank lending branches operating in Canada. In total, these institutions manage over $2.6 trillion in assets (Source: Office of the Superintendent of Financial Institutions as of January 31, 2008). (Photo: Armstrong, Beere & Hime; Oldest bank in Canada building)

As major players in Canada's financial industry, the banks serve millions of customers. They include individuals, small- and medium-sized businesses, large corporations, governments, institutional investors and non-profit organizations.

The major domestic banks offer a full range of banking, investment and financial services. They have extensive, nation-wide distribution networks and also are active in the United States, Latin America, the Caribbean, Asia and other parts of the world. Close to half of their earnings are generated outside of Canada.

Many large international banks have a presence here - through a subsidiary, representative office or branch of the parent bank. Most specialize in corporate and investment banking (e.g., niche financing) and have only one or two offices/branches. A notable exception is HSBC Bank Canada, which has a strong retail presence with branches across Canada.

Schedule I Banks (Domestic Banks)

Schedule I banks are domestic banks and are authorized under the Bank Act to accept deposits, which may be eligible for deposit insurance provided by the Canadian Deposit Insurance Corporation.

Schedule II Banks (Foreign Bank Subsidiaries)

Schedule II banks are foreign bank subsidiaries authorized under the Bank Act to accept deposits, which may be eligible for deposit insurance provided by the Canada Deposit and Insurance Corporation. Foreign bank subsidiaries are controlled by eligible foreign institutions.

Schedule III Banks (Foreign Bank Branches)

Schedule III banks are foreign bank branches of foreign institutions that have been authorized under the Bank Act to do banking business in Canada. These branches have certain restrictions.